Ant Financial refiles for MoneyGram deal approval

Ant Financial, the affiliate of China’s Alibaba that agreed to buy money transfer company MoneyGram International for $1.2 billion, has resubmitted the deal for US review, people familiar with the matter told Reuters. The deal is the latest and most high-profile transaction to be refiled this year with the Committee on Foreign Investment in the United States (CFIUS), a secretive government panel which reviews acquisitions by foreign entities for potential national security risks. Ant Financial and MoneyGram refiled after they were unable to secure clearance from CFIUS within the maximum time of 75 days that is awarded for assessing applications, the sources said on Tuesday. Refiling resets the clock and gives up to another 75 days for the companies to complete the national security review and try to resolve potential issues. A CFIUS refile does not necessarily mean that a deal will be rejected, although it does indicate increased government scrutiny.